HomeMy Public PortalAboutJAN 4a
-4
NOTICE OF REGULAR MEETING
CITY COMMISSION MEETING ROOM
115 E. Commercial Avenue, La Feria, TX 78559
THURSDAY, January 4, 2024, at 6:30 P.M.
AGENDA
If during the course of the meeting, any discussion of any item on the agenda is permitted to be held in executive
closed session, whether such item is already so identified on this Agenda or not, the La Feria Industrial
Development Corporation Board will convene in such Executive (Closed) Session in accordance with Title 5,
Chapter 551, of Texas Government Code and any Amendments thereto.
1. Pledge of Allegiance to the Flag All Present
2. Determine Quorum Present and Call Meeting to Order -- President
3. Public Comments
4. Consideration and action on minutes for meeting held December 7, 2023.
'Z s' ; ��D2il 2
5. closed Session:
a. Discussion pursuant to Sec. 551.074, Tex. Gov't Code, regarding the appointment, employment,
evaluation, reassignment and duties of a public officer or employee; to wit: the Executive
Director.
b. Attorney consultation pursuant to Sec. 551.071, Tex. Gov't Code, regarding the statutory
purpose and scope of legal authority applicable to the LFIDC.
Return to Open Session:
6. Consideration and appropriate action, if any, regarding the appointment of an Interim Executive Director.
ern S: i20011f vJ2
7, Consideration and appropriate action regarding invoices for repair and maintenance activities at the
LFIDC-owned property located at 126 E. Commercial Ave., or otherwise known as the "Beechner
Building."
8. Consideration and possible action to establish a purchasing policy for the LFIDC. ""'�iub°�. I'vc' "
Pr
P21
'1 : '•vp21cu�'2 5.rn v vo 2
9. Consideration and appropriate action to appoint a Secretary of the LFIDC.
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10. Adjourn
m A2Ti OD/�/�ljt�G'
I certify that this notice was posted on Friday, December 22, 2023, at 5:00 P.M., pursuant to the Texas Open
Meetings Act and on the City of La Feria website accessed at www.cityoflaferia.com.
To view the meeting via internet live streaming, please use the following link:
httr)s:,'.`us06web.zoom.usT81809425495?Pwd=J6nLtoWPYDj•7MF23ShOAweSNbtayiM.1
Meeting ID: 818 0942 5495
Passcode: 243411
Or listen telephonically at: —1 346 248 779
Amanda Morales, Ciiy Secretary
I
Industrial Development
Corporation__
MEETING DATE:
January 4, 2023
AGENDA ITEM NO.:
4
FROM: Amanda Morales, City Secretary
Consideration and action on minutes for meeting held December 7,
2023.
MINUTES OF PROCEEDINGS
REGULAR MEETING
LA FERIA INDUSTRIAL DEVELOPMENT CORPORATION (LFIDC)
Thursday, December 7, 2023
Be it known that the Board of Directors of the La Feria Industrial Development Corporation (LFIDC) met in
regular session on Thursday December 7, 2023, at 6:30 PM, in the City Commission Meeting Room, 115 East
Commercial Avenue, La Feria, Texas 78559. The purpose of said meeting was to consider and take action on
such business as was duly posted by agenda in accordance with State Open Meetings Law.
The following Board Members were present at said meeting:
Mr. Jose Becerra President
Mr. Michael Martinez Member
Mr. Robert Munoz Member
Mrs. Mary Rodriguez Member
Mr. Francisco Loya Member
Staff present:
Mr. Juan Ortiz Executive Director
Ms. Allison Bastian -Rodriguez City Attorney
Mr. Luis Castillo Accountant
Ms. Amanda Morales City Secretary
At 6:30 P.M., Board President Mr. Jose Becerra led everyone present in reciting the Pledge of Allegiance to the
Flag of the United States of America. h1e then declared that a quorum of the LFIDC Board was present and
called the meeting to order.
3. PUBLIC COMMENTS
There were no comments from the public.
4. CONSIDERATION AND ACTION ON MINUTES FOR MEETING HELD NOVEMBER 2, 2023.
Mr. Loya made a motion to approve the minutes of the meeting held November 2, 2023. The motion was
seconded by Mr. Munoz and passed unanimously.
5. CONSIDERATION AND ACTION ON MINUTES FOR MEETING HELD NOVEMBER 14, 2023.
Mr. Loya made a motion to approve the minutes of the meeting held November 14, 2023, with a
correction to item #1. The motion was seconded by Mr. Munoz and passed unanimously.
6. CONSIDERATION AND POSSIBLE ACTION REGARDING INVOICES FOR REPAIR AND
MAINTENANCE ACTIVITIES AT THE LFIDC-OWNED PROPERTY LOCATED AT 126 E.
COMMERCIAL AVE., OR OTHERWISE KNOWN AS THE "BEECHNER BUILDING."
Mr. Castillo addressed the board regarding invoices for work at the Beechner building. Mr. Munoz made a
motion to move into closed session for attorney consultation on this matter. The meeting convened in
closed session at 6:45 pm and resumed in open session at 6:56 pm. Mr. Munoz made a motion to pay the
remaining balance upon completion of a walk-through with the City Building Inspector or Public Works
Director and a board member. The motion was seconded by Mr. Martinez and passed unanimously.
7. CONSIDERATION AND POSSIBLE ACTION REGARDING THE PAYMENT OF INVOICES
FROM HANNA SOLUTIONS.
In response to a question from Mr. Loya, Mr. Ortiz explained that the invoices were for traffic studies and
other research conducted by Hanna Solutions. Mr. Martinez made a motion to move to closed session for
attorney consultation on this item and the items 1 la and 1 lb. The motion was seconded by Mr. Munoz
and passed unanimously. The meeting convened in closed session at 7:0I pm and returned to open session
at 7:30 pm. Mr. Martinez made a motion to deny payment for the invoice submitted by Hanna Solutions.
The motion was seconded by Mr. Loya and passed unanimously.
8. CONSIDERATION AND POSSIBLE ACTION TO ESTABLISH A PURCHASING POLICY FOR
THE LFIDC.
Mr. Munoz made a motion to postpone this item. The motion was seconded by Mr. Martinez and passed
unanimously.
9. CONSIDERATION AND POSSIBLE ACTION TO SET UP A WEBSITE FOR THE LFIDC.
Mr. Martinez made a motion to postpone this item. The motion was seconded by Mrs. Rodriguez and
passed unanimously.
10. REPORT ON CLEANUP OF 22 ACRES OF LFIDC-OWNED PROPERTY LOCATED ALONG
RABB ROAD.
Mr. Martinez made a motion to postpone this item. The motion was seconded by Mr. Loya and passed
unanimously.
11. CLOSED SESSION:
a. CLOSED SESSION PURSUANT TO SEC. 551.071, TEX. GOV'T CODE, FOR ATTORNEY
CONSULTATION REGARDING THE LFIDC'S LEGAL RIGHTS AND OPTIONS
REGARDING THE CONTRACT WITH SILVING, OTTING, AND SILVING.
b. CLOSED SESSION PURSUANT TO SEC. 551.074, TEX. GOV'T CODE, TO
DELIBERATE THE APPOINTMENT, EMPLOYMENT, EVALUATION,
REASSIGNMENT, DUTIES, DISCIPLINE, OR DISMISSAL OF A PUBLIC OFFICER OR
EMPLOYEE; TO WIT: THE EXECUTIVE DIRECTOR.
RECONVENE IN OPEN SESSION
12. CONSIDERATION AND APPROPRIATE ACTION, IF ANY, REGARDING LEGAL OR
OTHERWISE REMEDIAL ACTION REGARDING THE CONTRACT WITH SILVING,
OTTING, AND SILVING.
Mr. Loya made a motion to authorize legal counsel to pursue collection efforts on Silva, Offing and Silva.
The motion was seconded by Mr. Martinez and passed unanimously.
13. CONSIDERATION AND APPROPRIATE ACTION, IF ANY, REGARDING THE
APPOINTMENT, EMPLOYMENT, EVALUATION, REASSIGNMENT, DUTIES, DISCIPLINE,
OR DISMISSAL OF A PUBLIC OFFICER OR EMPLOYEE; TO WIT: THE EXECUTIVE
DIRECTOR.
Mr. Loya made a motion to dismiss the current Executive Director effective immediately. The motion
was seconded by Mr. Munoz and passed unanimously.
14. ADJOURNMENT — PRESIDENT
There being no further business to discuss, Mr. Martinez made a motion to adjourn the meeting. The motion
was seconded by Mr. Munoz and passed unanimously.
APPROVED:
Jose Becerra, President
ATTEST:
Amanda Morales, City Secretary
Industrial Development
Corporation
MEETING DATE:
January 4, 2023
AGENDA ITEM NO.:
5
FROM: Amanda Morales, City Secretary
Closed Session:
a. Discussion pursuant to Sec. 551.074, Tex. Gov't Code, regarding the
appointment, employment, evaluation, reassignment and duties of a public
officer or employee; to wit: the Executive Director.
b. Attorney consultation pursuant to Sec. 551.071, Tex. Gov't Code, regarding
the statutory purpose and scope of legal authority applicable to the LFIDC.
Information for these items will be presented at the meeting
MEETING DATE:
January 4, 2023
AGENDA ITEM NO.:
6
FROM: Amanda Morales, City Secretary
Consideration and appropriate action, if any, regarding the appointment of an Interim
Executive Director.
There is no backup for this item
Industrial Development
Corporation
MEETING DATE:
January 4, 2023
AGENDA ITEM NO.:
7
FROM: Amanda Morales, City Secretary
Consideration and appropriate action regarding invoices for repair and maintenance
activities at the LFIDC-owned property located at 126 E. Commercial Ave., or otherwise
known as the "Beechner Building."
Attached are invoices and corresponding photos of the Beechner
Building taken on December 21, 2023.
Beechner Building
photos
DECEMBER 21, 2023
row WIDE- $11701 "" REFilR - Ifl$TSIL TIO9
956-964-6599
105 ARMSTRONG STREET
DONNA, TEXAS 78537
ROY LUGO, OWNER
INC TO:
NAME dAAE4.t" 1134
ADDRESS
11S'f Corn ores c J
CITY, ISTATE,4ZIP
Tx 7t '5
DATE fv'' /3 '23
PHONESb) 14 ? - 6226;1
Qty DESCRIPTION
ANOINT
Lin e41;41-411 ; In r d rya., Iona.
te,rig4c. al ad 2.441iitid may, .
levin44/w all Aelior.e, at adzitmeit, -la. ,041,2e,
1 6t.e6 in de4 42 flateriaLs
Labor
Service CaLL
Taxes
TOTAL
Comments/Notes
RECEIVED
D/L 6-%- DA 6,(/)4I3
e -
a
THANK YOU
DE! tJGA CLIMATE CONTROL
r �t
It I
NNW IIIIM-$ERYIOERIPiWR-/A2T1MIiOIl
956-984-6589
105 ARMSTRONG STREET
DONNA, TEXAS 78537
ROY LUGO, OWNER
IRlr VON
MIME 6X9 kg 4 1t
ADDRESS
r 1 f trim/y.)101-44J
CITY, STATE ZIP
Ezteit. TX 7Srr
DATE 6 -/3 13
PHONE
6a50 74'7 - 22 ‘l
DESCRIPTION
AMOUNT
e4141 &hat
lAbli. it � 11��
.61449ti,rvpic, i di i-teuce-
VIII Y
1444, tat .4.41tedildrroitz1 Okii_ tErtzt
044 ILiti41.1 -- t i4tti
IoPtrdc.L 4 i e Ltiti;h4.0) /11ur A4
_
.1;144
L GAL4r;ftgt - MoteriaLs
Labor
Service COLL
Taxes
TOTAL
Comments/Motes
RECEIVED BY:
THANK YOU
Rear Door
- FLUGA CLIMATE CON t OL
r
PWIIETNIDE- MINN - RIPNIR -- 1111711111WOO
956-904-6589
185 ARMSTRONG STREET
DONNA, TEXAS 78537
ROY LUGO, OWNER
Qty
DESCRIPTION
AMOUNT
OZ411e4d Litatisol. 4eCem (417 its"
Comments Notes
RECEIVED 8Y:
Marter tats
Labor
Service CaLL
Taxes
TOTAL 12- 6j7 06
THANK YOU
GNU L UGA CLIMATE CONTROL
GI:N l/4i RI i LNI1AL REPAIRS
VI UEYWIDE - "ERM/OE - RIMS - I/IITS11817O1)
956-904-6509
105 ARMSTRONG STREET
DONNA, TEXAS 78537
ROY LUGO, OWNER
SW Tar
NAME CA o' LA k_ lb(
CA
115- E G aHr rfrrrG l
CITY, STATE, s z
La 1-.2444. T{X ZfliY9
DATE 0, - _ 23
PHONE,_
t9') 747 - 2 Z /
Qty DESCRIPTION
AMOUNT
J� t lC iAtt AVG n.V4g4 Pete /LS' lArdu
4
Cie 011,i0 Ae.wc.t Iiirei, C &4J -c.. r7• r4)
it -u- P uc lArall liar
PAY
VIZ -1 0 0 Labor
/10eble044.(4A4y Service CaLL
Taxes
rf'[y"' _ '-b. TOTAL S';
6 04
Comments/Notes
RECEIVED BY:
THANK YOU
Congressman's Office
OSC AR L ONGORIA
STATE REPRESENT ATIVE
H0 35 _ ._ _
DISTRICT OFFICE
cCr9ACT us 41.
C anrCaul, n couDrfma NL cala a Wn COty Off ICC
126 6 Comn-se ciaf A.o. 137.0 S Ma,n SI.
La ratia, TX 76559 Pangas, TX 78575
Fhana 1566) 747.2151 7pare. {9561 687-6944
Fa ,. )556) 599-x_33 F. (956) 565.55533
126
.v �e .p,. 6.cr• aon;On•
• Ho.n. onr.kt 15
ne. .. er aex :z«. .
-z�
Behind Building — concrete and fence
muff - SERVICE - R4PRIR - 111#111111100
956-984-6599
185 ARMSTRONG STREET
DONNA, TEXAS 78537
ROY LUGO, OWNER
nb
DATE
I - 2- 23
ADDRESS
Its £ CO1111,1e-4441
CITY, srprE, ZIP
,-.,k
PHONE
gr56_ 7'7-22,j
Qty
DESCRIPTION
AST
iiNA. to
a
11.44.r
C i .4a Jisvt iz- 14 rkl..112 Intai
It
g.
C
,c .
2
*A4 AA 1144, Al
MaterLaLs
Labor
Service CaLL
Taxes
TOTAL
2./9.04-0c
Comments/Notes
DF1 UGA CLP IA i F COW i fl6
4 I
Ti/l1ErNIDE - SERVICE - REPSIS - 10.171111111701
14y— 462,1
4CF_QMA_4CAd
105 ARMSTRONG STREET
ROY LUGO, OWNER
NAME wC_ I/ hx,
ADDRESS
115` E
CITY, STATE & ZIP
1.4 .. rx '7s Asti
DATE ' - 36 23
PHONE
(cj ) 7I''7- z241
Qty
DESCRIPTION
AMOUNT
IAs4 -
c L 4 * ,OA t- U241±.“
ViAdIdikli
A ..x GiCerth, GO- p.m 44
Aziy . ztil;
LemvA4x ab pett
efriditec-te
1
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MoteriaLs
Labor
Service CoLL
1#6144
1 4 g 0
j
-
Comm is/Notes
5 31/x -3
&I'M
H9& Q
TOTAL 1.6q 5 -o o
AUG 3 1 2023
9
THANK YOU
DFLUGA CLIMATE CONTROL.
Miff WIDE - IERI'IOE - REPRIR - IRRTIMIN IOd
105 ARMSTRONG STREET
DONNA, TEXAS 78537
ROY LUGO, OWNER
::(th
, a/ tic 4tc4A, EOL
ADDRESS
!1St Ca r+1tc i,(4 5!-
CITV, SITATE, & ZIPIAA 7
DATE
PHONE
11,-1023
qs6 zz01
Qty DESCRIPTION
AMOUNT
(Mini, (t it. Gear LirzAZ
- 1
Ad r
�..��... I,,[.�h�
w 4;t d :! 3 .mod tioni. az- p.A.4. ACtiat.
MatertaLs
Labor
Service CaLL
Taxes
TOTAL
)j 84q
1 f 000
— a -
-- d '"
2� 89q
Comments/Notes
9fs_
90-4A
ro Ws
RECEIVED BV:
THANK YOU
r
ratuirows- ISiWOl — R — I stanos
956-984-6569
195 ARMSTRONG STREET
DONNA, TEXAS 78537
ROY LUGO, OIER
MI Ms
ty,
ADDRE715 bit
CITY TP Tx ST ,& ZIP
•4. 7
DATE
PHONE
-224
qv.
ea► DESCRIPTION ,
AIMINT
tddrI j
kilakis
is IA- a 2 414 tv.A4u id-
4
A5 fZt145 t roc) rh
.
0;41v-0, 14,e,fit t.tr(A-c h
jrLe.t-Iu4 Jr9
otAitt rt..c,4 l
/
Kotertats
Labor
servvtce Cott
Taxes
TOTAL
I 61786- as
Cts/Notes
_r.796.
C)Z w4- its-. - o(4.1k � t1y. 9„?
THANK YOU
Inner structure
DE I U CLIMATE CONTROL /
l l r NIL I :I n,
RUDAIRS
1'AU TNIDE -,TRICE - RIPON - 11117111277011
956-904-6509
105 ARMSTRONG STREET
DONNA, TEXAS 78537
ROY LUGO, OWNER
Slif f10Er
NAME Ce-.14 d F.T A 4.4.... EDG
ADDRESS ii
/Ls L6 -
eij
CITY, STATE, 8 ZIP
A & Tk
DATE
PHONE
/a -/a •Z3
Oil) 719-2261
Qty DESCRIPTION
MOUNT
trvitai A, X / 0
.44A-
y 4 5',e.
_10
1,14!,1 fLeD4,cdti4
A-)
- 4 Aorm
k i•-i
,
', 6�
kcibtb
MaterioLs
Labor
Service CaLL
Taxes
TOTAL
ilt,
,
3 8647. e o
Z. Sva,ua
—
_ 0 +
_
4341. o 0
Comments/Notes _
Anze.. SeCw-
)RECEIVED BY:
THANK YOU
Q
0
0
4
MEETING DATE:
January 4, 2023
AGENDA ITEM NO.:
8
FROM: Amanda Morales, City Secretary
Consideration and possible action to establish a purchasing policy
for the LFIDC.
Attached is the current Procurement Policy for the City of La Feria with
samples from two other Economic Development Corporations.
Table of Contents
Section 1 PURCHASING PRINCIPLES
A.
Purpose of These Polices
B.
Responsibilities of Employees
C.
Responsibilities of the Finance Department
4
Section 2 PURCHASING PROCESS
A.
General Authority
B.
Purchasing Limits 5
Purchases up to $5,000 5
2.
Purchases of $5,001 to less than $50,000 5
3.
Purchases of $50,000 and above 6
C.
Emergencies 6
D.
Credit Cards 6
E.
General Purchasing Provisions 7
General Rules Applicable to all Contracts 7
2.
Tie Breakers 7
3.
Contracts 8
Section 3 =. PURCHASING FORMS 10
1
Section 4 WHEN COMPETITIVE BIDS ARE NOT REQUIRED
A.
High Technology Procurements 11
B.
Emergency Situations I 1
C.
Personnel Services I 1
D.
Professional Services 12
E.
Work Performed and Paid for by the Day as Work Progress 12
F.
Purchase of Land of Right -of -Way 12
G.
One Source Items 12
H.
Purchase of Rare Books, Papers and other Library Materials for Public Library 13
Services Performed by Blind or Severely Disabled Persons 13
J.
Interlocal Contracts 13
1
H-GAC Cooperative Purchasing 13
2.
State Purchasing and General Services Commission Purchasing Program 13
3.
Automated Information Systems 14
Section 5 DISPOSAL OF CITY PROPERTY
A.
Property Disposal 15
B.
Auction Procedures 16
Section 6- FEDERAL AWARDS 17
Section 1: Purchasing Principles
A. Purpose of these Policies
The City Manager intends these policies to:
ensure that the City acquires, stores, disburses, utilizes and disposes of goods and services uniformly and
economically;
help all departments understand and use established purchasing procedures and abide by applicable state
laws; and
help all departments in procurement needs
B. Responsibilities of Employees
The City of La Feria wants to promote and protect its governmental integrity. Public employees must, therefore,
discharge their duties impartially to assure fair, competitive access to City procurement. Moreover, the City's officers
and employees shall conduct themselves in a way that fosters public confidence in the integrity of the City of La Feria.
The employees of the City responsible for purchasing should:
purchase the proper goods or services to suit the City's need;
get the best possible price for the goods of services;
have the goods or services available when and where the City needs it;
assure a continuing supply of needed goods and services;
guard against misappropriation of City funds;
facilitate cooperation with other governmental units; maximize competition from responsible bidders;
safeguard public funds and receive the best value for the public dollar;
never use public spending to enrich elected officials or City employees; and never make purchases for
personal use in the City's name.
C. Responsibilities of Finance Department
The City of La Feria does not currently have a purchasing agent. The Finance Department will audit purchases and sales
made by the employees of the City under these policies. The Finance Department should ensure that City employees:
• properly authorize all transactions
• follow the established procurement and disposition procedures
• follow competitive bidding and purchasing statutes;
• receive and record materials, supplies, services and capital assets in the appropriate manner; and
• conduct operation in an efficient, manner.
Section 2: Purchasing Process
A. General Authority
The City has attempted to incorporate local, state and federal laws into this manual. The City, however, does not
warrant that these policies included all such laws. Local, state and federal laws will prevail over these rules where
applicable.
Texas Local Government Code 252.002 (municipal charter controls in case of conflict)
B. Purchasing Limits
Dollar Figure
Finance
Director
City
Manager
City
Council
Less than $5000
(Purchase Order)
*
$5,000 to less than $50,000
(Purchase Order)
*
$ 50,000 or more (Formal
Bids -State Required)
*
*
* Denotes Signature Approval
1. Purchases up to $5,000
Purchases of up to less than $5,000 will require a written purchase order. The Department Director will request
quotes from vendor(s) and be responsible for reviewing, prior to filling out a purchase order request. Once the
request has been filled out completely, it will be submitted to the Finance Department, along with any supporting
documentation for validation and consideration. If approved by the Finance Director, the Finance Department will
issue a purchase order number and relay it back to the Department Director as proof that such request has been
approved and they are now authorized to proceed forward with the respective vendor(s).
Once an invoice is received, it will be the Department's Director's responsibility to review it for accuracy and
completeness, assuring that all items or work performed was to their standards, prior to signing off for approval.
Invoice should then be forwarded to Finance Department for payment processing.
2. Purchases of $5,001 to less than $50,000
Purchases between $5,001 up to less than $50,000 will require a written purchase order. The Department Director
will request quotes from vendor(s) and be responsible for reviewing, prior to filling out a purchase order request.
Once the request has been filled out completely, it will be submitted to the Finance Department, along with any
supporting documentation for validation and consideration. Once the Finance Department has determined the
purchase order request is valid, it will be signed and forwarded to the City Manager for his,her approval. If
approved by the City Manager, the Finance Department will issue a purchase order number and relay it back to the
Department Director as proof that such request has been approved and they are now authorized to proceed forward
with the respective vendor(s).
3. Purchases of $ 50,000 and above
City Commissioners must approve in advance all expenditures for $50,000 or more. Except as provided in
Section 4, When Competitive Bids are not required, a department must formally advertise for bids and award the
bid to the lowest responsible bidder if the proposed purchase is $50,000 or more.
Texas Local Government Code chaplet 52.021.
C. Emergencies
An emergency is an unforeseen situation that adversely and unduly affects the life, health, or convenience of the
citizens of La Feria, or a circumstance that would cause a loss to the City (such as an inordinate amount of down time).
In an emergency situation, the Department Director may proceed with the emergency acquisition, however, it is the
responsibility of the Director to still attempt to notify the City Manager or Finance Department via any means of
communication necessary that an emergency has occurred and action is required immediately.
D. Credit cards
I. The City of La Feria currently holds active credit cards from large corporations (Wal-Mart, Home Depot, Office Depot,
etc.), which may or may not authorize the use of purchase orders, however, due to low costs and location convenience,
the City will utilize these businesses. Such credit cards are maintained in a binder, inside the office of the Assistant
Finance Director, whose office is protected by a coded keypad, which only he, the City Manager, City Secretary, Finance
Director and Accountant know the combination.
Department Directors are authorized the use of such credit cards; however, specific action must occur before and after
the process:
a. Assistant Finance Director is not authorized to hand over a credit card until he has received verbal permission from
either the City Manager, Finance Director or City Secretary for purchasing.
b. Once permission is granted, Department Director must return credit card back to its original location before the end
of business that same day.
c. Department Director must also have an itemized receipt of items purchased; the receipt is to be signed and handed
over to Accounts payable, who will attach it to the monthly statement when it arrives. These receipts are to be utilized
when reconciling the credit card bill.
2. The City of La Feria also maintains a bank credit card, under the name of the City Manager. This credit card is utilized
in the same manner as the above -mentioned corporate cards, except for the following:
-Bank Card can be used to reserve hotel?motel rooms when booking in advance for events such as conferences, scheduled
trainings, or registration fees.
E. General Purchasing Provisions
1. General Rules Applicable to all Contracts
a. The Finance Department will help user department establish clear, nonrestrictive bid specifications.
The designee will keep bids and related information according to the City's Records Management
Program.
b. The Department Director shall charge a purchase to the appropriate account number and only if the
account contains available budgeted funds.
c. No City employee should knowingly make or authorize any separate, sequential or component
purchase to avoid the City's purchasing limits.
d. If changes in plans or specifications are necessary after a contractor has begun the performance of the
contract or if it is necessary to decrease or increase the quantity of work to be performed or of materials,
equipment, or supplies to be furnished, the City Commission must approve change orders that exceed the
City Manager's authority
Texas Local Government Code 252 048
2. Tie Breakers
When two or more vendors submit identical bids:
a. If only one vendor is a resident of the City, the City will accept the bid from the local vendor.
b. If two or more vendors are residents or none are residents, then lots must be cast.
Texas Local Government Code 2 1 901
3. Contracts
a. Annual Contracts
The City may use annual contract to acquire or services, as the City needs them from a chosen vendor
at a fixed price for a specified time. These contracts eliminate the necessity of bidding commodities
each time they are needed.
b. Legal Review Required
The Finance Department shall send to the City Attorney, for review and approval, all contracts over
$50,000 both before bidding and again before execution.
c. Contracts Requiring Issuance of Debt, Certificates of Obligation or Lease -Purchase Agreements
I. If the City Manager, intends to finance a contract for goods or services through issuance of bonds,
debt, certificates of obligation, certificates of participation, tax anticipation notes, lease -purchase
agreements, or any other means, then the City Manager, before soliciting bids, receive approval
from the City Attorney and City Commission for such financial arrangements.
2. City Commission must approve by ordinance the publication of notice for bids for any good or
service financed by CO.
Texas Local Government Code, Section 252.050 (lease -purchase or installment purchase of real properly), chapter 2'1
(acquisition, sale, or lease provisions applying to more than one type of local government).
d. Construction Projects
I. If the contract is for construction of public works, the Department Director shall:
a) Prepare plans and specifications along with bidding and contract documents.
The 'proposed specifications shall include worker's compensation requirements.
Texas Labor Code 106.096
1. If the proposed project includes excavation work, then the proposed
specifications shall include excavation requirements and pay items.
Texas Health and Safety Code ?56 023
ii. The proposed specification shall include bonding requirements.
Texas Local Government Coda 252.044 2253.
iii. The proposed specification shall include prevailing wage rate schedules.
Texas Government Code - Chapter 2258.
iv. The proposed specification shall include bonding requirements.
Texas Local Government Code - 252.044 2253.
v. The proposed specification shall include prevailing wage rate schedules.
Texas Government Code - Chapter 2258.
b) Department Directors must provide advertisement for bids at least fifteen working days
c) Furnish all blueline plans required for bidding the project.
d) Furnish a set of the proposed Contract Documents and Specifications. The Purchasing
Agent or designee will run copies for the bid process.
e) Furnish a bid tabulation sheet for each project.
f) Check references and recommends an action in writing to the Finance Director and City
Manager.
g) Be responsible for designing the proposed project and answering all questions from
prospective bidders related to technical specifications.
h) Forward all addendums to the Finance Department and City Manager.
i) Be responsible for contract administration including notice of award, contract signing,
appropriate bonding, notice to proceed and general contract administration.
j) The Department Director shall forward all approved contracts over $15,000 to the City
Secretary, with a copy of the contract to the Finance Department.
The Department Director
a) Place notice in the paper, contact bidders, distribute bid documents and plans, distribute
addendum's, keep bidders list current, open bids, tabulate and check bids and furnish a
corrected tab sheet to the responsible division. If the estimated cost of the project exceeds
$50,000.00 the designee may advertise the bids in the Dodge Report in addition to other
notices.
b) Place on the City Commission agenda along with purchasing recommendation for award.
c) Return all contract documents to the City Manager for use in contract signing.
Texas Local Government Code 252.044, also, Texas Government Code chapter 2253.
Section 3 - Purchasing Forms
The user department shall originate a purchase order for each purchase. The form must include:
• Department
• Requested by
• Vendor name
• Quantity of items.'per item
• Description of items being purchased
• Budget account number to utilize
The department will maintain the purchase order until receipt of goods. Once received and
accepted, the Department Director shall authorize payment and forward the invoice and
supporting documentation to Finance.
The Finance Department will attempt to process purchase order requests within three working
days. If the Finance Dept, cannot process the request within this time period, the Department
Director and or the Division Plead will be notified.
Any incomplete purchase order(s) will be immediately returned to the proper department with
reason as to why it could not be processed. Once the corrections have been made, the purchase
order is to be submitted again via the same process. If for some reason, the department takes
more than one business day to return the purchase order to finance, the three business days
allotted for approval and return, will commence again from the day finance receives the revised
purchase order.
Section 4: When Competitive Bids are not required
The City does not require competitive bids for contracts for any of the following goods and services.
A. High Technology Procurements
The City may use a request for proposals to procure high technology products and services. Request for proposals are like
competitive bids. The Department Director must receive prior approval of the Finance Department and City Manager to use
a request for proposal. The division should write specification using performance standards rather that the description or the
good or service. The specification should also list the factor by which the City will judge the proposal, and the weight to be
given to each factor.
I. Vendors submit proposals of their own design for a system to satisfy the requirement set forth in the proposal. Proposals
may incorporate entirely different hardware or services to accomplish the same performance.
2. After the City receives the proposals, the Department Director may enter negotiations with as many vendors as have
submitted feasible proposals to arrive at the best possible proposal for each vendor.
Texas Local Government Cod 252.001(!); 252.021(c).
B. Emergency Situations
An emergency is an unforeseen situation that adversely and unduly affects the life, health, or convenience of the citizens of
La Feria, or a circumstance that would cause a loss to the City (such as an inordinate amount of down time).
In an emergency, the Department Director may proceed with the emergency acquisition. If the cost is greater than S500 but
less than S5,000, and explanation shall be included as to why the cost was deemed immediate and necessary. If the cost is
$5,000 or more, the Department Director shall send a confirmation requisition (including a brief explanation of the
purchase) and invoices to the Finance department as soon as possible. The Finance department will then assign a P.O.
number and advise the user department to forward that number to the appropriate vendor.
Texas Local Government Code 252.022 (I), (2) & (3)
C. Personal Services
Personal Services include, but are not limited to, office machine maintenance, equipment rental services janitorial services,
pest control, travel services, food services, and some automotive repair services. The Finance Department will maintain a
list of personal service providers. The Department Director shall submit any purchase categorized as personal service to the
Finance Department for review. Personal Services contracts may be bid at the discretion of the City.
Texas Local Government Code 21'1 052
1. ]
D. Professional Services
Professional Services means services within the scope of the practice, as defined by state law, of accounting, architecture,
land surveying, medicine, optometry, professional engineering, or real estate appraisers.
The City may not Select a provider of professional services or a group or association of providers or award a contract for the
services base on competitive bids submitted for the contract or for the services, but shall make the selection and award: (I)
on the basis of demonstrated competence and qualifications to perform the services; and (2) for a fair and reasonable price.
The professional fees under the contract: (1) must be consistent with and not higher than the recommended practices and
fees published by the applicable professional associations; and (2) may not exceed any maximum provided by law.
Texas Local Government Code 2254.002. 2254.003.
The City, action by its City Manager or appropriate Department Director, shall first select the most highly qualified provider
of those services on the basis of demonstrated competence and qualification, and attempt to negotiate either that provider a
contract at a fair and reasonable price.
If the City cannot negotiate a satisfactory contract with the most highly qualified provider, then the City shall formally end
negotiations with that provider, select the next most highly qualified provider and attempt to negotiate a contract with that
provider at a fair and reasonable price.
The City will continue the process described to select and negotiate with providers until the City enters a contract. A
purchase order to quotation form will not be required for the professional services included in this section. The City
Manager and?'or the appropriate Department Director will execute contracts for the City.
E. Work that is Performed and Paid for by the day as the work progresses
If the City hires a contractor for a project daily and pays for work daily as the work progresses, the procurement for
services is exempt from competitive bidding requirements.
F. Purchase of Land of Right -Of -Way
The purchase of land or right-of-way is exempt from competitive bidding requirements.
G. One Source Items
Items available from only one source including:
1. patents, copyrights, secret processes, or natural monopolies;
2. films, manuscripts, or books;
3. electricity, gas, water and other utility services;
4. captive replacement parts or components for equipment;
5. books, papers and other library materials for a public library that are available only from the person holding exclusive
distribution rights to the materials;
6. Management services provided by a nonprofit organization to a municipal museum, park, zoo, or other facility to which
the organization has provided significantly financial or other benefits.
H. Purchase of Rare Books, Papers, and Other Library Materials for a Public Library
The competitive bidding provisions do not apply to the purchase of rare books. however, books available from more
than one jobber or source must be purchased using the regular purchasing process.
The Finance Director will report quarterly to City Commission, all one -source contracts over $5,000 made under this
exception.
1. Services Performed by Blind or Severely Disabled Persons
The competitive bidding provisions do not apply to the purchase of goods or services that blind, visually impaired, or
severely disabled persons make or provide.
J. lnterlocal Contracts
The City Commission must approve interlocal contracts with other political subdivisions of this state, a state agency
of this state or an entity of the federal government administered by a regional planning Commission.
Texas Local Government t'ode Chapter '91
1. H-GAC..+Buyboard Cooperative Purchasing
The City may purchase items through the Cooperative Purchasing Programs. Departments shall present their requests
to the Finance Department for items to be purchased. The Finance Department will review contracts for these items.
The Finance Department will prepare a memorandum for City Commission approval, and after approval, prepare the
appropriate documentation for purchase order. The authorization for payment shall include the appropriate signatures
and include Coop's contract number.
2. State purchasing and General Services Commission Purchasing Program
The State Purchasing and General Services Commission has established a program by which the Commission
performs purchasing services for local governments. These services include: a) the extension of state contract prices
to participation local governments when the Commission considers it feasible; b) solicitation of bids on items desired
by local governments if the solicitation is considered feasible by the Commission and is desired by the local
government; and c) provision of information and technical assistance to local governments about the purchasing
program.
The Commission may charge the City an amount not to exceed the actual costs incurred by the Commission in
providing purchasing services to the City under the program. The Commission may adopt rules and procedures
necessary to administer the purchasing program.
The City adopted Resolution allowing participation this purchasing program. Any item purchased under as state
contract satisfies any state law requiring the City to seek competitive bids for the purchase of the item. Departments
shall present their request to the Finance Department for items to be purchased. The Department Director will
perform the necessary research to verify if items are offered through the State of Texas Contract.
The Department Director will prepare appropriate documentation for a state purchase order as needed. The
Department will receive paperwork supporting the purchase. The authorization for payment shall include the
appropriate signatures and include the state contract number.
Texas Local Government (-ode 71.083
3. Automated Information Systems (AIS)
AIS includes: a) computers on which information is automated; b) services related to the automation of the system,
including computer software or the computers; and c) a telecommunications apparatus of device that served as a
component of a voice, data, or video communications network for transmitting, switching, routing, multiplexing,
modulating, amplifying, or receiving signals on the network.
City departments may purchase AIS using the state catalogue purchase method or a request for proposal.
State Catalogue Purchase - A vendor designated by the State Commission as a qualified information systems vendor
publishes and maintains a catalogue. The vendor revises the catalogue as necessary to include price changes or the
availability of goods or services and forwards to the Commission and all eligible purchasers a copy of each revised
catalogue. The City may purchase items through these catalogues without further competitive bid procedures.
Departments purchasing items through these catalogues shall use the appropriate purchasing procedure dictated by the
dollar amount of the purchase and process a purchase order or quotation form. A copy of the vendor's letter from the
General Services Commission authorizing them as a qualified information systems vendor must be attached. Authorization
for payment shall include the appropriate signatures and proof that the item is eligible for purchase through the state
catalogue.
Texas Local Government ['ode 252.022
11
SECTION 5: Disposal of City Property
A. PROPERTY DISPOSAL
Sometimes City property may outlive its usefulness and become unserviceable or obsolete. Before a department
removes any property from service, the Department Director shall first determine if it can be transferred to
another user department for continued service. If it is found that the property is no longer serviceable to the
City, the Director shall request that the dispose of the item. The user department is required to complete a
disposal/auction sheet.
Items may be disposed of in one of the following methods:
public auction;
trade-in on new equipment;
sealed bids;
scrap material, taken to recycling center by user department; destruction as unsalvageable; or negotiated price
by Commission. The condition of the salvage or surplus market will dictate the most advantageous method of
disposal.
B. AUCTION PROCEDURES
Departments having property to be disposed of need to complete "Dispose through Auction" form with complete
description including serial and model numbers. The form must include the Departments Director's signature
and be submitted to the City Manager or his designee. After acceptance, the Director will be responsible to store
the property at a designated storage facility.
If for some reason the Department cannot take the property to the auction building, a Department Supervisor must
contact the Finance Department for inspection and verification at its location. The Finance Department will sign
the auction form verifying receipt of property.
The Director will send copies of forms to the Finance Department and file the original in the City's Secretary's
office until the auction date.
The City Manager or designee will send a list of auction items to all departments. If no other department can use
any of the items, all will be placed on auction list for disposal. If other City offices can use any items, an asset
transfer sheet must be processed and sent to the Finance Department.
Once an auction has taken place and a completed list of items sold is received' from the auctioneer, the City
Secretary will complete the original auction forms with an auction date and forward to the Finance Department.
Step by Step Procedures
1. Department fills out "Disposal Through Auction Form" including the Department Director's signature of
approval.
2. Department takes item and form to the designated storage facility and gives them to Finance Department.
3. The Finance Department stores items in locked storage area until the auction date.
4. The Department Director sends copies of auction form to Finance Department
5. The City Manager or his designee sends a list of auction items to each department for Confirmation and
examination of list in case another department can use any of the items.
6. The Finance Departments turn over items to auctioneer for disposal. The City Commission will approve all
items for auction. Once the auction has occurred and the Auctioneer sends a list of items sold to the City
Manager or designee, the designee completes the auction forms and forwards them to Finance for final
processing. A copy of the auctioneer's list of items sold will also be sent to the Finance Department. The
Finance Department shall send a tabulation of sales to the City Secretary for distribution to City Council.
16
SECTION 6: Federal Awards
Pertaining to grant funds received either as reimbursement or as advance from federal funding agencies, the City of L
Feria's policy is to distribute such funds within ten (10) days of having it received in the city's depository institution.
In the event, advanced funds received is higher than the amount certified for payment by project engineer and approv,
by the City Manager, the overage amount will be returned to its original distributor, no more than thirty days out. The
City will document such funds available in the draw requests submitted to funding agencies.
If contractors were used, the Project Coordinator Finance Director will ensure that the contractor has the proper
support required by the US Department of Labor based on the Labor Standards wage requirements).
.
vV -I E R F FLN HA.F'ENS
Freeport Economic Developoment Corporation
Purchasing Policy
Approved
June 13, 2023
Freeport EDC
Procurement Policy
Section 1: Purchasing Policies, Objectives, and Ethics
A. Purchasing Policy
The procedures listed below provide an outline of the overall purchasing process.
It is the policy of the EDC to assure fair competitive access to governmental procurement by responsible
vendors/contractors and to conduct business activities in such a manner as to foster public confidence
in the integrity of the EDC.
Therefore, regardless of the expenditure it is the policy of the EDC to garner competition that produces
the highest quality goods at the lowest possible price regardless of whether the item or service is
subject to bid.
B. Purchasing Objectives
These policies are intended to:
- Ensure that the EDC acquires, stores, disburses, utilizes and disposes of goods
uniformly and economically
and services
— Provide the EDC with quality products and services at the best possible price
- Ensure that the EDC abides by the EDC's By -Laws and its adopted annual budget
Encourage participation of small and minority businesses, women's business enterprises, and
labor surplus area firms.
C. Purchasing Ethics
The EDC wants to promote and protect its governmental integrity. The purpose of this section is to
provide guidance to all EDC employees involved in the procurement process so that they may conduct
themselves in a manner that is compatible with the best interest of the EDC. The employees of the EDC
responsible for purchasing shall:
- Purchase the proper goods or services to address the EDC's needs
- Get the best possible price for goods or services
- Have goods or services available when and where the EDC needs it
- Assure a continuing supply of needed goods and services
- Guard against misappropriation of EDC funds
— Facilitate cooperation with other governmental units
- Maximize competition from responsible bidders
— Safeguard public funds and receive the best value for the public dollar
- Never use public spending to enrich elected officials or EDC employees
— Never make purchases for personal use in the EDC's name
Freeport EDC Procurement Policy
- Ensure all procurement transactions will be conducted in a manner providing full and open
competition:
O No unreasonable requirements are placed on firms in order for them to qualify.
O No unnecessary experience or excessive bonding required.
O Noncompetitive pricing practices between firms or between affiliated companies is
disallowed.
r:, Noncompetitive contracts are disallowed except for when there is an approved
exception.
No organizational conflicts of interest.
If a "brand name" product is specified, an equal or like product is acceptable.
O A vendor that intends to respond to the Request for Proposals, Request for
Qualifications and/or Invitation for Bid may not participate in the development or
drafting of specifications, requirements, statements of work, or invitations for bids or
requests for proposals, including, but not limited to, the development of the scoring
criteria, the final selection of firms to be contacted, or the scoring of proposals.
- Ensure all procurement transactions shall incorporate a clear and accurate description of the
technical requirements for the material, product, or service to be procured.
- Ensure all procurement transactions shall identify all requirements which the offerors must
fulfill and all other factors to be used in evaluating bids or proposals
- If a prequalified list when acquiring goods or services is used, the EDC will ensure the list is
updated regularly, provides enough qualified sources to ensure maximum open and free
competition.
— Ensure all procurement transactions must conform to applicable local, state, and federal laws
and regulations.
Perception is Everything. Even if a procurement decision is sound, the method determination should be
documented and will be open to public inspection. If a decision is perceived to be less than fair to all
competitors, then the perception becomes the reality to the unsuccessful bidders. And, if the opinion is
that the EDC has "favorite companies we always do business with", our job is to set the record straight
with all who may have this complaint. It is important that awards are made based on competition
and/or best value for the EDC, that the reason(s) for those awards are documented and defensible, and
that a decision is based on fact and in the best interest of the EDC.
D. Participating in Procurements with Family or Friends
It shall be a breach of ethics for any employee of the EDC to participate directly or indirectly in
procurement for the EDC when the employee knows that:
- The employee or any member of the employee's immediate family has a financial interest
pertaining to the procurement.
- A business or organization in which the employee, or any member of the employee's immediate
family, has a financial interest pertaining to the procurement; or
— Any other person, business or organization with which the employee or any member of the
employee's immediate family is negotiating or has an arrangement concerning prospective
employment is involved in the procurement.
E. Gratuities
It shall be a violation of EDC employment to offer, give or agree to give any employee of the EDC , or for
any employee of the EDC to solicit, demand, accept or agree to accept from another person, a gratuity
r
Freeport EDC
Procurement Policy
or an offer of employment in connection with any decision, approval, disapproval, recommendation,
preparation of any part of a program requirement or purchase request, influencing the content of any
specification or procurement standard, rendering of advice, investigation, auditing, or in any other
advisory capacity EDC in any proceeding or application, request for ruling, determination, claim or
controversy, or other particular matter pertaining to any program requirement or a contract or sub-
contract, or to any solicitation or proposal therefore pending before the EDC of Freeport.
F. Kickbacks
It shall be a breach of ethics for any payment, gratuity or offer of employment to be made by or on
behalf of a vendor/subcontractor under a contract to the prime vendor/contractor or higher tier sub-
contractor for any contract for the EDC of Freeport, or any person associated therewith, as an
inducement for the award of a sub -contract or order.
G. Confidential Information
It shall be a violation of EDC policy for any employee of the EDC of Freeport knowingly to use
confidential information for actual or anticipated personal gain, or for the actual or anticipated gain of
any person.
H. Purchase of Materials, Equipment, And Supplies for Personal Use
No employee may purchase EDC property for his/her own personal use unless it is purchased through
the EDC's public auction or through the sealed bid procedures of the EDC. This includes new and used
equipment, materials or supplies.
I. Private Purchases Through EDC Facilities
No employee may use the purchasing power of the EDC to make a private purchase. In addition,
employees should not have private purchases sent to the EDC to be paid for by the employee.
J. Tax Exempt Status
The EDC is exempt from Federal, State, and Local taxes except in certain prescribed cases. An
exemption certificate is available from the EDC offices and will be furnished to any of the EDC's suppliers
upon request. Employees making purchases for the EDC out of personal funds will not be reimbursed
for sales tax paid.
K. Tax Exempt Status for Purchase of Personal Property
Employees may not use the EDC's tax-exempt status for purchases of personal property. Anyone
avoiding payment of sales tax by using this exemption may be liable for prosecution under Texas Penal
Code, Chapter 39.
L. Definitions
The following definitions are intended to assist you in understanding the language used throughout this
manual. When using this manual, if you find a word or words that you may not clearly understand and if
it is not defined in this section, please do not hesitate to contact someone in Finance for clarification
and/or interpretation.
Appropriated — The EDC Board appropriates funds through the adoption of the annual budget and
subsequent amendments. Appropriated funds are funds that are able to be used for the purchase of
3
Freeport EDC Procurement Policy
goods and services, another way of saying this would be to say funds are budgeted and authorized for
the intended purchase.
Capital equipment — Property with a useful life of at least two years and a purchase cost of at least
$5,000.
Check Request— Prescribed stamp/form for requesting payment to a vendor for purchase.
Contract - An agreement between the EDC and a Supplier to furnish supplies and/or services over a
designated period of time, during which purchases are made of the commodity specified.
Contractor - The successful vendor(s) awarded a contract by the EDC.
Encumbrance - The process wherein the EDC reserves funds for the purchase of supplies, goods,
services, and equipment in one budgetary -accounting period, and pays for the purchase in another
budgetary -accounting period.
Expedite — When the purchasing process is accelerated through normal procedures in order to prevent
work stoppage or loss of government's money.
Goods - A generic term that includes all types of property to be purchased by the EDC; equipment,
supplies, materials, components and repair parts.
Personal Services - Services provided to the EDC personally by a particular individual. Any contribution
of machinery and equipment compared to total cost must be substantially less than the contribution of
wages.
Planning Services - Services primarily intended to guide the EDC to ensure the orderly and coordinated
development of land areas.
Professional Services — services as defined by state law: accounting; architecture; landscape
architecture; land surveying; medicine; optometry; professional engineering; real estate appraising;
professional nursing; or services provided in connection with the professional employment or practice
of a person who is licensed or registered as: a certified public accountant; an architect; a landscape
architect; a land surveyor; a physician, including a surgeon; an optometrist; a professional engineer; a
state certified or state licensed real estate appraiser; or a registered nurse.
Purchase - An act that includes the acquisition of goods or services, to include the act of leasing
personal or real property. Separate, sequential, and component purchases shall be treated as a single
purchase.
Purchasing - The act, function, and responsibility for the acquisition of goods and services.
Purchase order - A formal, binding, legal agreement issued by the EDC's Purchasing Coordinator. A
purchase order is requested by a departmental requisition that details the merchandise or services
required. When accepted by a vendor without qualifications within a specified time period, the
agreement becomes a contract. A Purchase Order grants the vendor the authority to deliver the goods
or services and invoice for the same. It is the EDC's commitment to accept the goods or services and
pay for them at the agreed price.
Services - A generic term to include all work or labor performed for the EDC on an independent
contractor basis, Including maintenance, construction, manual, clerical or professional services.
Vendor - A generic term applied to individuals and companies alike, who provide goods and services to
the EDC.
4
Freeport EDC
Procurement Policy
Section 2: Purchasing Process
A. Delegation of Purchasing Authority
The EDC Director as authorized by the EDC Board of the EDC of has the authority to procure
materials and services for the EDC that are within the guidelines set -forth by this procurement
policy. An EDC Contract is always required when an on -site service is to be rendered to the EDC.
Retroactive (after the fact) contracts are not acceptable. Only the EDC Board, the EDC Director are
vested with authority to contract for the EDC. The EDC Director may approve the purchase of goods
or services that have been budgeted and are valued at up to $10,000, without prior approval of the
EDC Board.
No contract or purchase order will be binding upon the EDC unless authorized by the EDC Board or
EDC Director, as applicable, and unless the EDC Director and/or Finance Director certifies that there
is to the credit of the EDC office or department a sufficient appropriation and unencumbered
balance to pay for the goods and/or services for which the contract or purchase order is to be issued.
The EDC's purchase of goods and services shall be made according to a requisition from the EDC
Director. Any EDC personnel who authorizes or attempts to authorize a purchase order without
proper approvals will be subject to disciplinary action.
The Finance Department is designated as the Purchasing Office for the EDC within certain limitations.
The primary responsibility of the Purchasing Office is to procure the best goods and services in a
timely manner at the lowest possible cost to the EDC and to ensure that purchasing is conducted
with strict adherence to applicable federal, state and local laws as well as this manual. This purpose
is accomplished through updating of purchasing data, training/education of personnel and
responsiveness to new techniques. The Finance Department will coordinate purchasing activities
with the user department. The Finance Officer will conduct random internal audits of departmental
purchasing.
B. Total Dollar Limits/Approval Requirements
The purchasing limits stated herein assume that prior to purchase or request to purchase, the EDC
Director and/or their designee has verified sufficient funds are available in the budget line item
affected. This is verified through the purchase order (encumbrance) process approved by the EDC
Director and/or their designee. Purchase orders may be issued before purchase of goods or services.
The EDC is not required to formally bid services, goods, and the purchase of other items. EDC may
use purchase orders to encumber funds for any contracts.
5
Freeport EDC
Procurement Policy
C. Purchases of Less Than $10,000
The EDC Director has the authority to approve purchases up to 10,000. A purchase order may be
used to encumber funds and track the contract.
D. Purchases of $10,000.01
The EDC Board shall approve purchases over $10,000.01. A purchase order may be used to
encumber funds and track the contract.
E. General Purchasing Provisions
General Rules Applicable to All Contracts
a. Each Department Head is responsible for:
- Coordinating with the Finance Department to establish and maintain a list of
vendors
— Establishing clear, nonrestrictive bid specifications
— Receiving and inspecting all deliveries to ensure that the goods and/or services
comply with the bid or proposal specifications.
b. The EDC Secretary is responsible for maintaining bids or proposals and related
information according to the EDC's Records Management Program. Unless otherwise
specified by state law, records related to bids or proposals (including purchase orders,
invitations to bid, and bid tally sheets) are public records.
c. The Department Head shall charge a purchase to the appropriate account number
regardless if the account contains available budgeted funds. Overrun line items shall
require a budget amendment.
F. Prompt Payment Act
Texas Government Code, Chapter 2251, commonly known as the Texas Prompt Payment Act,
generally requires that the EDC pay bills not later than 30 days after the goods and services are
received, or the date the invoice is received, whichever is later. EDC shall submit to the Finance
Office any bill or invoice within 15 calendar days of receipt.
G. Contracts
All contracts will be reviewed before payment is made by the EDC Director and the Finance Officer.
This is to ensure payments are being made in accordance with the contract.
6
GREENE COUNTY ECONOMIC DEVELOPMENT CORPORATION
PURCHASING AND PROCUREMENT POLICY AND PROCEDURES
POLICY: All purchases for equipment, goods and services must adhere to the following
procedures.
INFORMATION: The following purchasing procedure is intended to achieve the following:
• Provide a uniform system of purchasing services, commodities or equipment for the
Greene County Economic Development Corporation ("Corporation");
• Obtain the best possible prices and insure that the Corporation is protected legally;
• Facilitate maintenance of a fixed asset inventory;
• Avoid possibility of duplication of payment to vendors
PROCEDURE: The Executive Director of the Corporation will prepare a formal resolution,
requisition or voucher which provides a description of the equipment or services with anticipated
costs and potential vendors. This document will be forwarded to the Board for approval.
The Executive Director shall adhere to the following requirements when purchasing
commodities, equipment or goods:
$1.00 to $5,000
$5,001 to $10,000
$10,001 to $19,999
$20,000 and up
No quotes required.
Written quotes from at least two separate vendors
(if available).
Written quotes from at least three separate vendors
(if available).
Sealed bids or Best Value Offers in conformance with
General Municipal Law, Section 103.
The Executive Director shall adhere to the following requirements when purchasing ordinary
services:
$1,000 to $10,000
$10,001 to $20,000
$20,001 to $34,999
$35,000 and up
Multiple quotes encouraged but not required.
Prices will be obtained by formal written quote from at
least two separate vendors (if available).
Prices will be obtained by Request for Proposals (RFP) or
Best Value Offers from at least 3 separate vendors (if
available).
Sealed bids or Best Value Offers in conformance with
Section 103 of General Municipal Law.
The Executive Director shall adhere to the following requirements when purchasing professional
services:
$1,000 to $10,000
$10,001 to $20,000
$20,001 and up
Multiple quotes encouraged but not required.
Prices will be obtained by formal written quote from at
least two separate vendors (if available).
Prices will be obtained by Request for Proposals (RFP) or
Best Value Offers from at least 3 separate vendors (if
available).
$35,000 and up Sealed bids or Best Value Offers in conformance with
Section 103 of General Municipal Law.
Award of a contract shall be made upon the recommendation of the Executive Director and
approval of the Corporation. Awards to other than the lowest proposer must be properly
documented with the rationale reason for rejection of the lowest bidder price.
Awards based upon a Best Value Offer must contain the evaluation criteria and the process used
to make such determination. Whenever possible, the evaluation shall be based upon objective
and quantifiable factors and shall not be solely on cost. Whenever possible and applicable,
factors including, but not limited to quality, reliability, maintenance, useful lifespan and
performance shall be evaluated.
Whenever the work to be awarded is directly related to and "builds upon" work performed by a
consultant in a previous contract, the Corporation may waive any multiple quote requirements
outlined above.
REQUIREMENTS: Proper documentation is required when the quote is not awarded to the
vendor giving the lowest price. Quotes will be awarded to the lowest responsible and responsive
vendor. Except for purchases requiring submission of sealed bids, a preference of 3% for vendors
located within Greene County may be applied in evaluating the lowest price quote.
Proper documentation, acceptable to the Corporation, must be given if the required number of
quotes cannot be accommodated.
In all circumstances, whenever other than the lowest quote (after application of the 3%
preference for Greene County vendor) is awarded, there must be written documentation of the
reason for the award.
Except as otherwise noted, purchases shall be made upon approval by the Corporation. For
purchases of $5,000 or less that are budgeted for in the yearly financials approved by the
Corporation, the Executive Director shall be delegated with purchase approval authority.
EXCEPTIONS TO POLICY AND PROCECURES:
EMERGENCY: If an emergency exists wherein the delay caused by soliciting quotes would
endanger the health, welfare, or property of the Corporation or of any individual, the
procurement of goods or services will be at the discretion of the Executive Director with
documentation as to the nature of the emergency and shall be sent to the Chairman and members
of the Corporation.
SOLE SOURCE SITUATIONS: Purchases of goods or services from a "sole source" vendor
need not comply with the multiple quote requirements contained herein.
OUTSIDE LEGAL COUNSEL: The employment of outside legal counsel is exempted from
these requirements.
Approved and adopted this 22nd day of May 2019.
Industrial Development
Corporation
MEETING DATE:
January 4, 2023
AGENDA ITEM NO.:
9
FROM: Amanda Morales, City Secretary
Consideration and appropriate action to appoint a Secretary of the
LFIDC.
IDC bylaws require a President, Vice -President, and Secretary. The
Secretary position is currently vacant.